It’s Not About the FED or Interest Rates

As the Bond and Stock Markets come to the end of the road we will be seeing something that has not been seen in years.  People are going to sell because they don’t want to own either anymore.  And this may even take down the dollar.

So what is one to do?  At the minimum get in cash.  If you want to be aggressive, triple short ETF’s in Stocks and Bonds should be good for awhile.

If one steps back and looks at all of that has evolved over the past thirty years you see that the long road to deflation started at the end of the last interest rate cycle in the mid 80’s.  So what difference to the economy did the FED QE III move have, or what difference will the latest moves in Japan, Europe, or China have, basically none, just putting a footnote to the ending 2 1/2 year phase of this cycle.

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